Evaluation of Cooperation during Project Delivery: Empirical Study on the Hydropower Industry in Southwest China

Abstract

Previous studies agree that cooperation among participants is critical to successfully deliver projects; however, little research has quantitatively illustrated how participants benefit from cooperation. Based on partnering and cooperative game theories, the degree of willingness to cooperate (DWC) model has been used in this study to reflect the interactions among participants through dynamic simulation. With the support of data collected from a field survey, the outcomes of DWC model simulation have been tested, confirming that DWCs have significantly positive influences on cooperation gains, and incentives are effective in improving participants’ rewards. Application of the DWC model then reveals the cooperation status of hydropower developments in Southwest China, suggesting five practical strategies for interorganizational cooperation in project delivery. This study advances the knowledge area of multiorganizational dynamics during project delivery by building interdisciplinary linkage between partnering theory and cooperative game theory, which provides a structure to quantitatively unfold the cause-effect relationships between DWCs, incentives, and participants’ rewards. This research also reveals the mutual goals and different priorities of project participants and answers questions on how coalitions can be formed and how cooperation gains should be equitably allocated. The aforementioned findings can help practitioners to understand their positions in cooperation, make decisions to optimally integrate participants’ resources, and find ways to reach stable long-term partnering relationships.